An unforeseen expense is a foreseeable occurrence. It also happens that salaries are delayed while you have obligations going through on due dates. This can lead to overdrawn accounts or to subsequent default in payments and ensuing inconveniences. To avoid such situations, just ask for an overdraft facility: it is a temporary but effective solution to rebalance your account and manage your budget.

Overdrawing your account happens when debit exceeds credit balance, meaning that you have spent more money than what was available on your account.

With an overdraft on your current account, you can withdraw past your own available funds - up to an approved limit - to access extra cash.  You can use this money by making a payment with your card or by withdrawing cash directly from an ATM.

Which one to choose?

Occasional or Temporary Overdraft

An occasional overdraft is meant to compensate momentary cash-flow misbalance, pending the reception of acknowledged regular income. It is an exceptional interim solution to cope with a particular event such as having to issue a cheque while funds on the account are, at that particular moment, insufficient. This type of overdraft does not constitute a cash-flow management tool. An occasional overdraft must be compensated to restore the account balance as soon as income is credited.

Permanent Overdraft

A permanent overdraft is a standing credit facility. It is granted for a renewable period of 1 year (unless revised or cancelled). Under a permanent overdraft, the bank grants you authorization to operate your current account up to a pre-approved credit limit. You are free to use the facility, or not; partially or totally.

Who can apply?

Any physical person of legal age, holding a current account with BCP Bank (Mauritius).

When applying for an authorised overdraft, we suggest you seek your adviser’s assistance to determine the optimal amount to apply for, depending on your needs and budget management habits.